Many of the most successful Amazon sellers we know never spent a day in business school. In fact, we think that you can learn more about business by selling on Amazon than you can by sitting in a classroom.
But there’s definitely a lot you can learn from studying business theory. One of the most valuable lessons is how to make decisions and set goals for your business using a SWOT analysis.
What is SWOT?
SWOT analysis is a method for understanding the Strengths and Weaknesses of your business, as well as for recognizing the Opportunities that you can take advantage of and the Threats that you face.
A SWOT analysis helps you develop sustainable goals for your business. What makes SWOT so valuable is that you can easily reveal insights about your business that might otherwise be difficult to identify.
Perform Your Own SWOT Analysis in 3 Steps
- Identify Strengths & Weaknesses: Do you rely on others for inventory? Do you have employees? What tools do you use?
- List Opportunities & Threats: How is your business positioned for the future? What could hurt your business? Who’s your competition?
- Start Analyzing: Strengths help you avoid threats. Use opportunities to overcome weaknesses and understand your threats. Use this chart as a guide:
